Crown Eco Environmental Management Ne...

Crown Eco Environmental Management News - Covidien

Posted in the Top Stories Forum

Since: May 13

Montréal, Canada

#1 Jul 1, 2013
Covidien Completes Separation of Pharmaceuticals Business

http://michealswiss.newsvine.com/_news/2013/0...

Covidien (NYSE: COV), a leading global provider of healthcare products, today announced it has completed the separation of its Pharmaceuticals business, which is now held by Mallinckrodt plc, a new independent company. Mallinckrodt will begin "regular way" trading on the New York Stock Exchange today under the symbol "MNK."
The distribution of Mallinckrodt ordinary shares occurred on June 28, 2013. In the distribution, Mallinckrodt issued one ordinary share for every eight Covidien ordinary shares held as of the close of business on June 19, 2013, the record date for the distribution.
Covidien announced in December 2011 that it planned to spin-off the Pharmaceuticals business. While both businesses hold industry-leading positions, they have distinctly different business models, sales channels, customers and capital requirements. In addition, their respective innovation pipelines differ substantially in length, regulatory approval requirements, possible risks and potential returns. The spin-off will enable both businesses to pursue their own strategic and operational plans, including setting optimal levels of investment in research and development and creating business-appropriate capital structures.
"We wish our colleagues at Mallinckrodt continued success as they launch a new, independent specialty pharmaceuticals company focused on pain management and medical imaging diagnostics," said José E. Almeida, Covidien Chairman, President and CEO. "Mallinckrodt has strong market positions based on its core strengths in manufacturing and pharmaceutical formulation."
"Covidien is well positioned to deliver on its strategic initiatives, including broadening innovation focus, aggressively managing its portfolio, capitalizing on emerging markets opportunities and optimizing spending to provide for investments in innovation and growth," said Mr. Almeida. "We are maintaining our long-term financial goals and continue to target top-line growth at or above the markets in which we compete."
In fiscal 2012, excluding the Pharmaceuticals business, Covidien had annual sales of $9.9 billion, about evenly split between the U.S. and non-U.S. markets. The Medical Devices business segment represented about 80% of the Company's sales, with Medical Supplies comprising the remainder. The Company holds the number one or number two market position in categories representing approximately 90% of its sales.
Covidien looks to grow sales at or above the rate of the underlying markets and maintains its previously communicated long-term financial goals of mid-single digit sales growth and double-digit adjusted EPS growth over time. The Company plans to leverage its strong cash flow for long-term profitable growth and remains committed to returning at least 50% of its free cash flow to shareholders annually through dividends and share repurchases.
ABOUT COVIDIEN
Covidien is a leading global healthcare products company that creates innovative medical solutions for better patient outcomes and delivers value through clinical leadership and excellence. Covidien manufactures, distributes and services a diverse range of industry-leading products in medical devices and supplies. With 2012 revenue of $9.9 billion, Covidien has 38,000 employees worldwide in 70 countries, and its products are sold in over 140 countries. Please visit www.covidien.com to learn more about our business.

Related Article

http://online.wsj.com/article/PR-CO-20130701-...

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

Top Stories Discussions

Title Updated Last By Comments
The Christian Atheist debate (Jun '15) 3 min Aerobatty 118,567
News Plurality of Americans think Trump is failing 6 min RiversideRedneck 2,134
News Roman Catholic church only true church, says Va... (Jul '07) 7 min New Age Spiritual... 678,590
News Bill to loosen financial rules would save $24 b... 10 min UidiotRaceUMAKEWO... 2
News Trump budget promises balance in decade, relies... 16 min UidiotRaceUMAKEWO... 4
News An ambitious ruler defeated by his own hubris: ... 17 min UidiotRaceUMAKEWO... 2
What Your Church Won't Tell You by Dave and Gar... (Apr '10) 30 min New Age Spiritual... 33,210
More from around the web